AXIS Capital's underwriting operations are organized around its global underwriting platforms, AXIS Insurance and AXIS Re. The Company has determined that it has two reportable segments, insurance and reinsurance. The Company does not allocate its assets by segment, with the exception of goodwill and intangible assets, as it evaluates the underwriting results of each segment separately from the results of its investment portfolio.

During the three months ended March 31, 2018, the Company realigned its accident and health business by integrating this business and its operations into the Company's insurance and reinsurance segments. Financial results relating to the Company's accident and health line of business were previously included in the Company's insurance segment. As a result of the realignment, accident and health results are included in the results of both the insurance and reinsurance segments of the Company with effect from January 1, 2018.

Insurance

The Company's insurance segment offers specialty insurance products to a variety of niche markets on a worldwide basis. The product lines in this segment are property, marine, terrorism, aviation, credit and political risk, professional lines, liability, accident and health, together with discontinued lines, which represents lines of business that Novae Group plc ("Novae") exited or placed into run-off in the three month period ended December 31, 2016 and in the three month period ended March 31, 2017.

Reinsurance

The Company's reinsurance segment provides non-life treaty reinsurance to insurance companies on a worldwide basis. The product lines in this segment are catastrophe, property, professional lines, credit and surety, motor, liability, agriculture, engineering, marine and other, accident and health, together with discontinued lines, which represents lines of business that Novae exited or placed into run-off in the three month period ended December 31, 2016 and in the three month period ended March 31, 2017. The reinsurance segment also wrote derivative based risk management products designed to address weather and commodity price risks until July 1, 2017.

The following tables present the underwriting results of the Company's reportable segments, as well as the carrying values of allocated goodwill and intangible assets:



	2018									2017
Three months ended and at March 31,	Insurance			Reinsurance			Total			Insurance			Reinsurance			Total

Gross premiums written	$	880,848		$	1,781,947		$	2,662,795		$	545,261		$	1,366,610		$	1,911,871
Net premiums written	547,893			1,437,978			1,985,871			356,836			1,152,122			1,508,959
Net premiums earned	580,059			587,343			1,167,402			391,964			546,739			938,703
Other insurance related income (losses)	620			5,986			6,606			42			(3,825		)	(3,783		)
Net losses and loss expenses	(321,538		)	(339,807		)	(661,345		)	(241,085		)	(365,857		)	(606,942		)
Acquisition costs	(87,329		)	(141,931		)	(229,260		)	(54,004		)	(135,788		)	(189,792		)
General and administrative expenses	(102,370		)	(37,296		)	(139,666		)	(85,256		)	(36,545		)	(121,801		)
Underwriting income	$	69,442		$	74,295		143,737			$	11,661		$	4,724		16,385

Corporate expenses							(30,171		)							(39,459		)
Net investment income							100,999									98,664
Net investment losses							(14,830		)							(25,050		)
Foreign exchange losses							(37,860		)							(21,465		)
Interest expense and financing costs							(16,763		)							(12,791		)
Reorganization expenses							(13,054		)							—
Amortization of value of business acquired							(57,110		)							—
Amortization of intangibles							(2,782		)							—
Income before income taxes and interest in income (loss) of equity method investments							$	72,166								$	16,284

Net loss and loss expense ratio	55.4		%	57.9		%	56.7		%	61.5		%	66.9		%	64.7		%
Acquisition cost ratio	15.1		%	24.2		%	19.6		%	13.8		%	24.8		%	20.2		%
General and administrative expense ratio	17.6		%	6.3		%	14.5		%	21.8		%	6.7		%	17.2		%
Combined ratio	88.1		%	88.4		%	90.8		%	97.0		%	98.4		%	102.1		%

Goodwill and intangible assets	$	506,747		$	—		$	506,747		$	84,613		$	—		$	84,613